Here's Why Jumia Shares Are Trading Higher Premarket

Here's Why Jumia Shares Are Trading Higher Premarket
  • Jumia Technologies AG JMIA reported second-quarter FY22 revenue growth of 42.5% year-on-year to $57.3 million.
  • Orders increased by 35% Y/Y to 10.3 million, and active consumers rose 24.9% to 3.4 million.
  • Total payment volume (TPV) increased 31% to $74.2 million. The gross merchandise value (GMV) rose 21.3% Y/Y to $271.1 million.
  • Gross profit rose 13.6% Y/Y to $30.4 million. The operating loss widened to $(67.7) million.
  • The company held $53.8 million in cash and equivalents and used $(58.3) million in operating cash flow.
  • Adjusted EBITDA loss widened sharply to $(57.2) million.
  • Outlook: Jumia reiterated FY22 adjusted EBITDA loss forecast of $(200) million - $(220) million. 
  • For the full year of 2023, it expects adjusted EBITDA loss to be lower than for the full year of 2022.
  • JMIA cut its capex guidance for the full year 2022 from $15 million - $25 million to $10 million - $15 million.
  • Price Action: JMIA shares traded higher by 11.99% at $7.75 in the premarket session on the last check Wednesday.

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